Before you pack your sunscreen, make sure you’ve got the right travel insurance!
This report highlights savings from the Mozo Experts Choice Awards and nationwide survey insights, covering Aussie travel trends, policy costs, and where to find the best savings.
Even with the cost of living crunch, Aussies aren’t putting their passports away. Short-term trips jumped by over 91,000 in the past year, showing that travel remains a top priority.
In November 2024, more than 912,000 Australians returned from overseas adventures—a 7.4% increase on pre-COVID 2019 levels.
With more Aussies taking off, finding the right travel insurance is just as important as booking the perfect holiday deal. Whether it’s a quick Bali escape or a long-haul trip to Europe, demand for travel is back in full swing.
Whether it’s a romantic getaway or a family adventure, Australians love to travel.
According to the latest data, Indonesia is the top choice, with 134,950 visitors in November 2024, up from 117,750 the previous year. Japan and Thailand have seen significant growth in popularity, with travel to Japan increasing by 34% and Thailand by 20% since 2022.
Visits to China have also rebounded, rising from 2,500 in 2022 to 49,900 in 2024, marking a strong post-pandemic recovery.
Mozo research shows most Australians (85%) prefer to share their travel experiences.
When asked about their last overseas holiday, (40%) travelled with their partner, a quarter (25%) took the kids along for the ride and 10% holidayed with friends.
However, for roughly 1 in 7 (15%), the peace and tranquility of travelling solo cannot be beaten.
Thankfully, Mozo research shows 73% of Australians purchase travel insurance before heading overseas. However, 1 in 4 (27%) don’t buy a standalone policy, leaving themselves exposed to high costs.
Many travellers rely on credit card travel insurance, but there are risks—especially if they don’t factor in the cost of high annual fees, or the minimum holiday spend needed on the card to secure the insurance.
Mozo research also showed that 13% travelled completely uninsured, which is even riskier. 8% of those respondents claimed it was because they “weren’t worried” or “didn’t think anything bad would happen” but this can be a very costly gamble.
New research from Mozo highlights how Australians choose to purchase travel insurance, revealing generational differences in buying habits. While 40% of Australians prefer to buy travel insurance directly from an insurer, their second choice varies depending on their age group.
Younger travellers, particularly Gen Z (18%), are more inclined to purchase insurance through airlines, likely for the convenience of bundling it with their flights.
Meanwhile, Millennials (13%), Boomers (19%), and Gen X (15%) are more likely to rely on the complimentary or premium travel insurance benefits offered by their credit cards, taking advantage of built-in protections.
Finding the sweet spot between price and protection is a top priority for Aussie travellers, but as the cost of living continues to rise, price has taken the lead as the key deciding factor when choosing a travel insurance policy.
Mozo research shows that 57% of Australians prioritise price. 8% focus solely on cost while 49% check cover but ultimately choose based on price.
On the other hand, 43% prioritise the level of cover, 38% put cover first while considering price, while 5% focus only on cover.
With most travellers balancing cost and cover, finding the right policy at the right price remains crucial.
When selecting a travel insurance policy, Australians don’t rely on just one factor.
A mix of trust, price, and cover are considered*. Around 50% of travellers prioritise a trusted brand, while 27% focus on finding the lowest price. 26% take the time to research and compare policies, and 13% opt for the highest level of protection.
However, by focusing on trust over other factors, travellers may miss out on potential savings—especially since a trusted brand may not always offer the most affordable or comprehensive cover.
Mozo research reveals that only 1 in 5 Australians (20%) take the time to read their travel insurance policy from start to finish.
The majority skim-read (56%), while 14% give up because it's too long.
Worryingly, 9% never open their policy at all, and 2% don’t even know what a Product Disclosure Statement (PDS) is for.
This lack of awareness could leave travellers exposed to unexpected costs, especially if they assume they're covered for things they’re not.
Travel insurance costs vary by destination, but Mozo research shows that comparing policies can lead to big savings. Whether you're heading to the USA, Europe, or Bali, choosing a Mozo Experts Choice Award winner could save you hundreds of dollars on a two-week trip. Travel Insurance premium pricing analysis is based on quotes collected for the Travel Insurance Mozo Experts Choice Awards 2025.
The USA has the highest savings on Essential cover, with Aussie travellers standing to save $126 by switching to a Mozo Experts Choice Award-winning policy. Italy and Bali once again followed with savings of $70 and $59, respectively.
Essential Cover policies considered in the awards included unlimited medical cover, unlimited COVID medical cover, at least $2,500 cancellation cover and $2,000 luggage cover.
The USA also offers the highest savings on Comprehensive Cover, with Aussie travellers standing to save $157 by switching to a Mozo Experts Choice Award-winning policy. Italy and Bali follow closely with savings of $137 and $133, respectively.
Comprehensive policies considered in the awards included at least $7,500 luggage cover and $15,000 cancellation cover per person, unlimited medical cover.
In the case of COVID claims, policies with at least $2,500 for additional expenses cover and $2,500 cancellation cover were considered.
If you’re a frequent traveler, comparing travel insurance could save you $472 a year on an annual multi-trip policy. Our research looked at policies for a 40-year-old traveler with worldwide coverage (including the USA), covering trips of at least 30 days.
The best-value policies offered unlimited medical cover, at least $7,500 for luggage, and $15,000 for cancellations—plus Covid cover, including unlimited medical and extra expense protection.
Hitting the slopes? You could save $191 on ski travel insurance just by shopping around. We crunched the numbers based on a 40-year-old heading to Japan for a two-week winter holiday with snowsports coverage.
Setting sail? Cruise travel insurance doesn’t have to cost a fortune—our research found you could save $173 on a two-week cruise policy. These savings are based on a 40-year-old traveler cruising through the South Pacific or to Fiji with dedicated cruise coverage.
Travel insurance isn’t just a safety net—it can also save you hundreds of dollars if something goes wrong on your trip. But with so many options available, how do you choose?
Here are four key tips to help you find the best value and coverage for your next overseas adventure.
The research in this report was compiled after the analysis of 166 travel insurance policies, issued by 51 providers as part of the Mozo Experts Choice Awards for Travel Insurance 2025.
Pricing data was based on information collected by experts in Mozo’s research team from November - December 2024, recognising the industry leaders in value and quality over six insurance categories, Essential, Comprehensive, Annual Multi-Trip, Medical Only, Cruise, and Ski Travel Insurance.
Mozo survey data included in the report was collected between December 2024 and January 2025 as part of a nationally representative consumer research survey. The survey was commissioned via PureProfile, and surveying 1,425 Australians who have previously travelled overseas, 1,037 of which purchased travel insurance.
Savings were calculated based on a single 40 year old traveller taking a 2 week holiday. Travel Insurance premium pricing analysis is based on quotes collected for the Travel Insurance Mozo Experts Choice Awards 2025. Prices collected and average costs are calculated based on a single 40 year old traveller taking a 2 week holiday.
*The pricing and coverage information collection for popular overseas destinations - United States of America, United Kingdom, Italy, New Zealand, Japan, and Bali.
º The savings calculated across all awards excluding the Annual Multi-trip category.
